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HOW TO FILL INCOME TAX RETURN FORM ITR-1 SAHAJ AY 2017-18

Income Tax department has released [New ITR forms for assessment year 2017-18] recently .ITR forms has been reduced from 9 last year to 7 year .ITR-1 has also been limited to one page form .In this post we are discussing the Instructions for filling ITR-1 SAHAJ A.Y. 2017-18. Download PDF form here to file paper return but paper return forms can be filed up to Income of Rs 5 lakh only.

General Instructions

These instructions are guidelines for filling the particulars in this Return Form. In case of any doubt, please refer to relevant provisions of the Income-tax Act, 1961 and the Income- tax Rules, 1962.

1. Assessment Year for which this Return Form is applicable

This Return Form is applicable for assessment year 2017-18 only, i.e., it relates to income earned in Financial Year 2016-17.

2. Who can use this Return Form

This Return Form is to be used by an individual whose total income for the assessment year 2017-18 includes:-

(a) Income from Salary/ Pension; or

(b) Income from One House Property (excluding cases where loss is brought forward from previous years); or

(c) Income from Other Sources (excluding winning from lottery and income from Race Horses, Income taxable under section 115BBDA or Income of the nature referred to in section 115BBE)

NOTE: Further, in a case where the income of another person like spouse, minor child, etc. is to be clubbed with the income of the assessee, this Return Form can be used only if the income being clubbed falls into the above income categories.

3. Who cannot use this Return Form

This Return Form should not be used by an individual whose total income for the assessment year 2017-18 exceeds Rs.50 lakh or includes,-

(a) Income from more than one house property; or

(b) Income from winnings from lottery or income from Race horses; or

(c) Income taxable under section 115BBDA; or (dividend more than 10 Lakh)

(d) Income of the nature referred to in section 115BBE; or (cash credits)

(e) Income under the head “Capital Gains” e.g., short-term capital gains or long-term capital gains from sale of house, plot, shares etc.; or

(f) Agricultural income in excess of ₹5,000; or

(g) Income from Business or Profession; or

(h) Loss under the head ‘Income from other sources’; or

(i) Person claiming relief under section 90 and/or 91; or

(j) Any resident having any asset (including financial interest in any entity) located outside India or signing authority in any account located outside India; or

(k) Any resident having income from any source outside India

4. Annexure-less Return Form

No document (including TDS certificate) should be attached to this Return Form. All such documents enclosed with this Return Form will be detached and returned to the person filing the return.

5. Manner of filing this Return Form

This Return Form can be filed with the Income Tax Department in any of the following ways, -

(i) by furnishing the return in a paper form;

(ii) by furnishing the return electronically under digital signature;

(iii) by transmitting the data in the return electronically under electronic verification code;

(iv) by transmitting the data in the return electronically and thereafter submitting the verification of the return in Return Form ITR-V;

NOTE: Where the Return Form is furnished in the manner mentioned at 5(iv), the assessee should print out two copies of Form ITR-V.

One copy of ITR-V, duly signed by the assessee, has to be sent by post to - Post Bag No. 1, Electronic City Office, Bengaluru— 560 100, Karnataka. The other copy may be retained by the assessee for his record.

Only the following persons have an option to file return in paper form:-

(i) an individual of the age of 80 years or more at any time during the previous year; or

(ii) an individual or HUF whose income does not exceed five lakh rupees and no refund is claimed in the return of income.

6. Filling out the acknowledgment

Only one copy of this Return Form is required to be filed. Where the Return Form is furnished in the manner mentioned at 5(i), the acknowledgment/ ITR-V should be duly filled.

7. Obligation to file return

Every individual or HUF whose total income before allowing deductions under Chapter VI-A of the Income-tax Act, exceeds the maximum amount which is not chargeable to income- tax is obligated to furnish his return of income. The deductions under Chapter VI-A are to be mentioned in Part C of this Return Form. In case of any doubt, please refer to relevant provisions of the Act. The maximum amount not chargeable to income tax in case of different categories of individuals is as follows:-

Sl. No.

Category

Amount (in ₹)

(i)

In case of individuals below the age of 60 years

2,50,000

(ii)

In case of individuals, being resident in India, who are of
the age of 60 years or more at any time during the financial year 2016-17

3,00,000

(iii)

in case of individuals, being resident in India, who are of the age of 80 years or more at any time during the financial year 2016-17

5,00,000

Item by Item Instructions (General Information)

Part- A – General Information

Explanation

Fill your Permanent Account Number. Make sure that you fill your PAN Carefully. NOTE: In your PAN, first five and last one digit are alphabets and the remaining four digits are numerals.

Fill your name as per details entered in PAN Card.

Fill your 12 digit Aadhaar Number. In case, Aadhaar not allotted but applied for Aadhaar enter Aadhaar Enrolment Id. Filling of the said field is mandatory w.e.f. 01.07.2017.

For non-residents certain deductions are not available (For more details, refer Income-tax Act, 1961)

Tick mark the appropriate box if you belong to Govt., PSU or Others

Tick mark the appropriate box:

Voluntarily on or before the due date under section 139(1)

1

Voluntarily after the due date under section 139(4)

2

Revised return under section 139(5)

3

Under section 119(2)(b) on an application to be made separately before the Income-tax authority.
(The return shall be treated as valid only after the application/ claim/relief under section 119(2)(b) has been admitted by the Income-tax Authority)

4

In response to notice under section 139(9)

5

In response to notice under section 142(1)

6

In response to notice under section 148

7

In response to notice under section 153A/ 153C

8

Provide the receipt number of Original return and Date of filing of Original Return. It is mandatory for you to provide this detail in case of a revised /defective return, else the return will not be accepted by Income-tax Department.

If the return is being filed in response to notice by the Income-tax Department under section 139(9)/142(1)/148/153A/153C provide the date of such notice.

Exercise the option by ticking the box, if you are governed by Portuguese Civil Code and impacted by Section 5A of Income- tax Act, 1961. You should enter only your share of income in the column B2 (house property) and B3 (other sources). The balance share of income under these heads should be entered in the return of income of your spouse.

If you are governed by Portuguese Civil Code and impacted by Section 5A of Income- tax Act, 1961 provide PAN of the Spouse

Part-B – Gross Total Income

B1 :Fill the details of salary/ pension as given in TDS certificate (Form 16) issued by the employer. However, if the income has not been computed correctly in Form No.16, please make the correct computation and fill the same in this item. Further, in case there was more than one employer during the year, please furnish in this item the details in respect of total salaries from various employers.

B2 :If loss, mark the negative sign with in the brackets at left. Also tick the box as whether the house property is ‘Self Occupied’ or ‘Let Out’.

B3 : Enter only if you have Income. If loss, please use ITR 2.

B4 Add Items B1, B2, B3. If loss, mark the negative sign with in the brackets at left. However, this loss cannot be carried forward to next year using this form.Use ITR-2 for Carry Forward of Losses.

Part-C – Deductions and taxable total income - Some of the major items for deduction under this part are:

80C Amount paid or deposited towards life insurance, contribution to Provident Fund set up by the Government, recognised Provident Fund, contribution by the assessee to an approved superannuation fund, subscription to National Savings Certificates, tuition fees, payment/ repayment for purposes of purchase or construction of a residential house and many other investments (for full list, please refer to section 80C of the Income-tax Act). As provided in section 80CCE, aggregate amount of deduction under section 80C, 80CCC and sub-section (1) of 80CCD shall not exceed one lakh and fifty thousand rupees

In case of deductions under any other section of Chapter VI-A of the Income-tax Act, please specify the section and the deduction claimed therein.

Part-D – Computation of tax payable

D1 Compute as per tax computation table given above on Taxable Total Income at (C2)

D2 Deduction from income-tax to a resident individual, whose total income does not exceed ₹5,00,000/-, of an amount equal to such income-tax or an amount of ₹5,000/-, whichever is less

D3 Tax payable after rebate (D1-D2)

D4 Calculate the education cess including secondary and higher education cess at the rate of three per cent of D3

D5 D5= D3 + D4

D6 Claim the relief, if any, allowable under section 89 in respect of arrears or advances of salary received during the year.

D7 Calculate 234A interest according to the provisions of Income-tax Act, 1961
D8 Calculate 234B interest according to the provisions of Income-tax Act, 1961

D9 Calculate 234C interest according to the provisions of Income-tax Act, 1961

D10 D5+D7+D8+D9-D6

D11 Give the amount of total taxes paid which is the sum of Advance and self- assessment payment given in column 4 of Schedule IT and the relevant TDS given in column 6 of Schedule TDS. Verify your TDS & Tax payment details using FORM 26AS.

D12 If D10 is greater than D11, then fill the amount of Tax Payable.

D13 If D11 is greater than D10, then fill the amount of Refund.

Exempt income

Please enter details of all exempt income, e.g., Dividend Income, Agricultural income etc. Use ITR-2, if agricultural income exceeds ₹5,000/-.

Part- E – Other Information

D14 Please provide the details of all the savings and current accounts held by you at any time during the previous year. However, it is not mandatory to provide details of dormant accounts which are not operational for more than 3 years. Please indicate the account in which you would like to get your refund credited irrespective of whether you have refund or not. The account number should be as per Core Banking Solution (CBS) system of the bank. The amount of cash deposited during 09.11.2016 to 30.12.2016 in the said bank accounts should also be filled. In case cash is deposited during 09.11.2016 to 30.12.2016 in any account other than the current and savings account (viz. loan accounts etc.), then details of such account indicating the cash deposited in the said account during the said period should also be provided.

NOTE: If you have more than Five Self-Assessment and Advance Tax Details to be entered, then fill the following table and tear and attach the same with the return (in case return is filed in paper form):

Schedule TDS

Please furnish the details in accordance with Form 16 issued by the employer(s) in respect of salary income and details in accordance with on Form 16A issued by a person in respect of interest income and other sources of income. Also details of TCS in accordance with Form 27D issued by the tax collector may be furnished.

Further in order to enable the Income Tax Department to provide accurate, quicker and full credit for taxes deducted at source, the taxpayer must ensure to quote complete details of every TDS/TCS transaction.

Enter the amount of tax deducted which is claimed in this return of income in column (6) of the said Schedule. For example, if any income is not chargeable to tax in this year then the corresponding TDS deducted on such income, if any, will be allowable in the year in which such income is chargeable to tax.

Verification

Please complete the Verification Section, fill date and Sign in the space given. Without a valid signature, your return will not be accepted by the Income- tax Department.